Are Facebook and Amazon Cryptocurrencies a Threat to Bitcoin?

by George Naylor

Reported plans by both Facebook and Amazon to launch their own ‘in-house’ cryptocurrencies are gathering momentum. Initially denied by both companies, industry insiders have all but confirmed the efforts by both giants to capitalize on controlled ecosystem funds.

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Recruitment Drive

Amazon and Facebook have recently hit cryptocurrency headlines with their efforts to recruit leading professionals in the field of blockchain and cryptocurrency for their stealth development projects. Certainly, putting their money and reputation on the line by publically searching for these professional job appointments demonstrates their commitment to these projects.

On the subject – senior lecturer in cryptocurrency and blockchain technology at Manchester Metropolitan University, Gavin Brown, stated that:

“This really could be an absolute gamechanger and would be a seriously smart move by both companies.”

“This time last year Mark Zuckerberg was talking about crypto and blockchain being a solution to the challenges that Facebook faces, but there’s never been any clarity about what form that would take.

“But if it is, as anticipated, the creation of a ‘Facecoin’ as such then it would seriously take the world by storm – the same applies to Amazon.”

Contained Economics

Incredibly, keeping fiscal control over corporate economics is a hugely lucrative business model. Starbucks has $1.3 billion worth of prepaid gift cards in circulation. Discounts and customer saving measures can incentivize the conversion of fiat into corporate currencies, much like the BNB coin functions for Binance.

Disney even experimented with private currency issuance in the 1980s, creating the Disney Dollar to be spent at its theme parks. It’s something that the big internet giants will not want to miss out on.

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Complexity, Adoption, and Threat

One clear aspect that the likes of Facebook and Amazon have mastered is simplicity. One-click, next day deliveries of almost any imaginable item, to catching up with every shared social moment with friends and family and creating entire online communities. It’s likely that these companies would apply their UI and interaction expertise with such a digital currency – supercharging potential uptake.

Bitcoin’s current levels of mainstream adoption still firmly sit in the speculatory phase. Until that ‘killer app’ is developed to allow the everyday person to buy and use Bitcoin, the threat to its cryptocurrency throne and kingdom is very real indeed.

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